Comparative Economic Systems

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Comparative Economic Systems

Governments have built up and founded on many different ideas, systems, and “what’s right and wrong.” Each country directs certain ideas on what’s right, and what works for them, some can be very successful, but at the same time all have flaws. In this comparative paper the differences and similarities of capitalism, socialism, and communism are going to be addressed. In the end I will form my personal opinion of which I prefer.In a communist world everyone would have food, shelter, and no one would be above another. In this perfect utopia society all would have a fair chance. This was the belief of a man named Vladimir Lenin. In 1917 Lenin over threw the government of Russia, in it’s place he set up a communist government. Communist deals with a Five-Year Plan which is a comprehensive centralized economic plan designed to achieve rapid industrialization. Communist also deals with a government in which the state plans and controls the economy and a single, often authoriatain party holds power, claiming to make progress toward a higher social order in which all goods are equally shared by the people. In a capitalism world, its capital-intensive economies, which are required large amounts of assets to finance a given amount of sales. One issue capitalism has is transparency which is the need to make business dealing with more visible to everyone especially government regulators. Most large Japanese firms that are capitalist, belong to Keiretsu. This is a tightly knit group of firms governed by an external board of directors from potential competitors. In Japan spending on infrastructure which had the results of taxes being low allowing people to save their money or spend it on consumer goods. Part of the reason for poor economic performance was because of a banking crisis in the 1990’s, when Japan was growing, land values soured, and many used their land as collateral.In a socialism world its government owns...
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